Chapter 1. General Provisions.

Sec.

§ 12.1-1. Definitions.

As used in this title, the term "corporation" or "company" shall mean all corporations created by acts of the General Assembly of Virginia, or under the general incorporation laws of this Commonwealth, or doing business therein, and shall exclude all municipal corporations, other political subdivisions, and public institutions owned or controlled by the Commonwealth; and the term "the Commission" shall mean the State Corporation Commission.

(Code 1950, § 12-1 ; 1971, Ex. Sess., c. 157.)

Cross references. - As to constitutional provisions relating to the State Corporation Commission, see Va. Const., Art. IX.

Editor's note. - At its regular session of 1970, the General Assembly directed the Code Commission to undertake a general revision of the Code, with particular reference to amendments throughout the Code that would be necessary under the proposed revision of the Constitution of Virginia, subsequently adopted by the voters at the election held on November 3, 1970. In November of 1970 the Commission sent to the Governor and General Assembly its report, containing a proposed revision of Title 12, relating to the State Corporation Commission. This report, which was published as House Document No. 2 of the 1971 extra session, contains much valuable explanatory matter, which is, however, too lengthy for inclusion here. The Commission's draft of the revision of Title 12, as amended by the General Assembly, became Chapter 157 of the Acts of 1971, Extra Session. It repealed Title 12 of the Code, and enacted in lieu thereof a new Title 12.1.

Some of the cases cited in the notes under the various sections of this title were decided under corresponding provisions of former law.

Law review. - For survey of Virginia municipal corporations and administrative law for the year 1970-1971, see 57 Va. L. Rev. 1572 (1971). For survey of Virginia administrative law for the year 1974-1975, see 61 Va. L. Rev. 1632 (1975). For special section on ratemaking and public policy in Virginia, see 18 Wm. & Mary L. Rev. 73 (1976).

Michie's Jurisprudence. - For related discussion, see 3B M.J. Carriers, §§ 2, 4; 15 M.J. Railroads, § 11.

CASE NOTES

State Corporation Commission may function as a court. - Under Virginia law, it is well settled that the State Corporation Commission may function as a court. The SCC is vested with judicial powers and duties. National Home Ins. Co. v. SCC, 838 F. Supp. 1104 (E.D. Va. 1993).

§ 12.1-2. State Corporation Commission.

There shall be a permanent commission known as the State Corporation Commission which shall have the powers and duties prescribed by law and by Article IX of the Constitution of Virginia.

(1971, Ex. Sess., c. 157.)

§ 12.1-3. Seal of the Commission.

The Commission shall have and use a common seal, to consist of a circular die with the coat-of-arms of Virginia and the title "State Corporation Commission" stamped upon the face of the die, and shall have power to affix such seal to any paper, record, or document when necessary for the purpose of authentication, and such seal, when so affixed to any paper, record, or document emanating from the Commission or its clerk's office, shall have the same force and effect for authentication as the seal of any court of record in this Commonwealth.

(Code 1950, § 12-3; 1971, Ex. Sess., c. 157.)

§ 12.1-4. Annual report of the Commission.

Each year, the Commission shall make an annual report to the Governor as of December 31 of the preceding year. Copies of this report may be sold by the Clerk of the Commission at a price sufficient to cover costs of printing and binding. The Commission may from time to time include in such annual reports recommendations for new or additional legislation pertaining to matters within its jurisdiction.

(Code 1950, § 12-4; 1971, Ex. Sess., c. 157; 1985, c. 34.)

§ 12.1-5. Offices; notice, writ or process; where public sessions may be held.

The offices of the Commission shall be located, and its public sessions held, in the City of Richmond, and all notices, writs and processes issued by the Commission shall be made returnable to, and command the corporation or person against whom directed to appear before the Commission and answer on a certain day to be named therein; but the Commission may, in its discretion, if public necessity or the convenience of the parties require, hold public sessions elsewhere in the Commonwealth, and may order any notice, writ, or process to be made returnable to the place of any such session; and for the holding of any such session the Commission may occupy the courtroom of the courthouse of the city or county wherein such session may be held, if such courtroom shall not at the time be in use for the sessions of the court of any such city or county.

(Code 1950, § 12-5; 1971, Ex. Sess., c. 157.)

Chapter 2. Members of the Commission.

Sec.

§ 12.1-6. Election or appointment of members; terms.

The Commission shall consist of three members. Members of the Commission shall be elected by the joint vote of the two houses of the General Assembly for regular staggered terms of six years. At the regular session of the General Assembly convened in each even-numbered year, one commissioner shall be elected for a regular six-year term.

Whenever a vacancy in the Commission shall occur or exist when the General Assembly is in session, the General Assembly shall elect a successor for such unexpired term. If the General Assembly is not in session, the Governor shall forthwith appoint pro tempore a qualified person to fill the vacancy for a term ending thirty days after the commencement of the next regular session of the General Assembly, and the General Assembly shall elect a successor for such unexpired term.

The Governor shall commission each of the members of the Commission who shall file his commission in the office of the clerk of the Commission.

(Code 1950, §§ 12-9, 12-12; 1971, Ex. Sess., c. 157; 2006, c. 838.)

Cross references. - For constitutional provisions, see Va. Const., Art. IX, § 1.

As to mandatory retirement provisions of members of the State Corporation Commission, see § 51.1-305.

The 2006 amendments. - The 2006 amendment by c. 838 deleted "to begin on February 1 of each year" following "term" at the end of the last sentence of the first paragraph.

Law review. - For survey of Virginia law on municipal corporations and administrative law for the year 1970-1971, see 57 Va. L. Rev. 1572 (1971).

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, § 3.

CASE NOTES

Language of Va. Const., Art. IX, § 1, constitutes an unambiguous limitation upon the authority of the General Assembly with respect to the manner in which SCC commissioners are selected. Thomson v. Robb, 229 Va. 233 , 328 S.E.2d 136 (1985).

Bicameral action by the General Assembly is required in the selection of SCC commissioners. Thomson v. Robb, 229 Va. 233 , 328 S.E.2d 136 (1985).

Election of a member of the SCC requires majority vote of members of each house of the General Assembly. Thomson v. Robb, 229 Va. 233 , 328 S.E.2d 136 (1985).

Appointee must be elected by Assembly, not merely confirmed. - This section is a clear expression by the General Assembly of the view that the Governor's appointee to fill a vacancy on the Commission must be "elected" by the General Assembly and not merely "confirmed" by it within the ordinary meaning of the latter term. Norris v. Gilmer, 183 Va. 367 , 32 S.E.2d 88 (1944) (decided under prior law).

Applied in Hitt Constr. v. Pratt, 53 Va. App. 422, 672 S.E.2d 904 (2009).

§ 12.1-7. Chairman.

The Commission shall annually elect one of its members chairman for a one-year term commencing on February 1 of each year.

(1971, Ex. Sess., c. 157.)

§ 12.1-8. Quorum of members.

A majority of the commissioners shall constitute a quorum for the exercise of judicial, legislative, and discretionary functions of the Commission, whether there be a vacancy in the Commission or not, but a quorum shall not be necessary for the exercise of its administrative functions.

(1971, Ex. Sess., c. 157.)

Law review. - For article analyzing ratemaking issues under the SCC, see 14 Wm. & Mary L. Rev. 601 (1973).

CASE NOTES

It is not necessary that two or more members of the commission be present while each witness testifies, provided all the evidence is considered by at least two commissioners. Southwest Bank v. Peoples Bank, Inc., 216 Va. 788 , 224 S.E.2d 130 (1976).

Applied in Hitt Constr. v. Pratt, 53 Va. App. 422, 672 S.E.2d 904 (2009).

§ 12.1-9. Eligibility and qualifications of members.

No person shall be eligible to serve as a member of the Commission unless at the time of his election or appointment he is a qualified voter under the Constitution and laws of this Commonwealth. At least one member of the Commission shall have the qualifications prescribed for judges of courts of record.

(Code 1950, § 12-10; 1971, Ex. Sess., c. 157.)

§ 12.1-10. Prohibited conflicts of interests.

  1. As used in this section, "member of the immediate family of a member, subordinate, or employee of the Commission" means (i) a spouse of a member, subordinate, or employee of the Commission or (ii) any other person who resides in the same household as a member, subordinate, or employee of the Commission and (a) who is a dependent of a member, subordinate, or employee of the Commission or (b) of whom a member, subordinate, or employee of the Commission is a dependent.
  2. The members of the Commission and its subordinates and employees shall not, directly or indirectly, own any securities of, have any pecuniary interest in, or hold any position with any entity whose rates, services, or financial ability to meet its obligations to the public are subject to supervision or regulation by the Commission; nor shall any such person having a license or certificate to practice law engage in the private practice of law except by approval of the Commission on a pro bono publico basis. If a member of the immediate family of a member, subordinate, or employee of the Commission is employed by any entity whose rates, services, or financial ability to meet its obligations to the public is subject to supervision or regulation by the Commission, the member, subordinate, or employee of the Commission shall recuse himself from and not participate in any regulatory matter at the Commission in which such entity is a party.
  3. This section shall not prevent any such person from being a policyholder in any insurance company; from being a depositor in any bank, savings institution, or similar institution; or from being a holder of a security issued by a unit investment trust or management company as those terms are defined in the Investment Company Act of 1940 and in accordance with such rules as the Commission may adopt.
  4. Any member of the Commission who violates this section may be censured or removed from office in the manner provided by Article VI, Section 10 of the Constitution of Virginia. Any subordinate or employee of the Commission who violates this section may be removed from office by the Commission.

    (Code 1950, § 12-13; 1971, Ex. Sess., c. 157; 1994, c. 181; 1996, c. 77; 2011, c. 163; 2013, c. 94.)

Editor's note. - For the Investment Company Act of 1940, referred to above, see 15 U.S.C.S. § 80a-1 et seq.

The 2011 amendments. - The 2011 amendment by c. 163 added subsection A; designated the former first paragraph as subsection B, and therein substituted "entity" for "corporation" in the first sentence, and added the last sentence; and designated the last two paragraphs as subsection C and subsection D.

The 2013 amendments. - The 2013 amendment by c. 94, in the first sentence of subsection B, inserted "having a license or certificate to practice law" and "except by approval of the Commission on a pro bono publico basis."

§ 12.1-11. Oath; failure to qualify.

Any person elected or appointed to be a member of the Commission shall qualify by taking and subscribing the oath required by Article II, Section 7 of the Constitution of Virginia. If any member shall fail to so qualify within thirty days after the commencement of his term of office, such office shall become vacant.

(Code 1950, §§ 12-11, 12-12; 1971, Ex. Sess., c. 157.)

§ 12.1-11.1. Temporary recall of members.

  1. The Commission may call upon and authorize any member who is retired under the Judicial Retirement System (§ 51.1-300 et seq.) to perform, for a period not to exceed ninety days at any one time, such duties for the Commission that the Commission deems in the public interest for the expeditious disposition of its business.
  2. It shall be the obligation of any retired member who is recalled to temporary service under this section and who has not attained age seventy to accept the recall and perform the duties assigned.  It shall be within the discretion of any member who has attained age seventy to accept such recall.
  3. Any member recalled to duty under this section shall have all the powers, duties, and privileges attendant on the position he is recalled to serve.

    (1990, c. 832.)

CASE NOTES

Challenge to constitutionality of retirement system held properly dismissed. - Suit brought by four former Virginia judges for a declaration that certain provisions of the Commonwealth's judicial retirement system covering them were unconstitutional, both under the equal protection clause of Amendment Fourteen of the Federal Constitution and under the Virginia Constitution, held properly dismissed. Thompson v. Walker, 758 F.2d 1004 (4th Cir. 1985) (decided under former § 51-178).

Virginia acted reasonably in setting up its recall system, whether it be obligatory or merely discretionary, for retired judges under 70 years of age. Thompson v. Walker, 758 F.2d 1004 (4th Cir. 1985) (decided under former § 51-178).

Purpose of recall/retirement system. - The clear purpose of the recall/retirement system is to insure the availability of a pool of auxiliary judges so that Virginia courts can more effectively address the problem of case backlogs. This system of benefits and burdens is rationally calculated to achieve this legitimate purpose; its general structure is well within any limitations imposed by the equal protection clause. Thompson v. Walker, 583 F. Supp. 175 (E.D. Va. 1984), aff'd, 758 F.2d 1004 (4th Cir. 1985) (decided under former § 51-178).

This section, by giving retired judges over 70 discretion to refuse recall, strikes a sensible balance between the needs of the recall system, on the one hand, and the realities of aging, on the other. The Constitution does not forbid this eminently reasonable accommodation of conflicting concerns. Thompson v. Walker, 583 F. Supp. 175 (E.D. Va. 1984), aff'd, 758 F.2d 1004 (4th Cir. 1985) (decided under former § 51-178).

Retired judge under 70 must serve if recalled. - The language of subsection D of this section is plain and unmistakable. It could not be clearer: A retired judge under 70 must serve if recalled. Thompson v. Walker, 583 F. Supp. 175 (E.D. Va. 1984), aff'd, 758 F.2d 1004 (4th Cir. 1985) (decided under former § 51-178).

Retired judge who both receives retirement benefits and appears in Virginia courts violates § 51-179 (see now § 51.1-309) and Canon 8(C) of the Canons of Judicial Conduct, which incorporates and interprets this section. Thompson v. Walker, 583 F. Supp. 175 (E.D. Va. 1984), aff'd, 758 F.2d 1004 (4th Cir. 1985) (decided under former § 51-178).

Applied in Layne v. Crist Elec. Contr., Inc., 62 Va. App. 632, 751 S.E.2d 679 (2013).

Chapter 3. Powers and Duties of the Commission.

Sec.

§ 12.1-12. Powers and duties generally.

  1. Subject to such requirements as may be prescribed by law, the Commission shall be the department of government through which shall be issued all charters, and amendments or extensions thereof, of domestic corporations and all licenses of foreign corporations to do business in this Commonwealth. Except as may be otherwise prescribed by law, the Commission shall be charged with the duty of administering the laws made for the regulation and control of corporations doing business in this Commonwealth. Subject to such criteria and other requirements as may be prescribed by law, the Commission shall have the power and be charged with the duty of regulating the rates, charges, services, and facilities of all public service companies as defined in § 56-1. The Commission shall in proceedings before it insure that the interests of the consumers of the Commonwealth are represented, unless the General Assembly otherwise provides for representation of such interests. The Commission may appoint such clerical force as may be deemed necessary to the efficiency of its office, but the aggregate amount paid such clerks shall not exceed the sum provided by law; and it may expend for the contingent expenses of its office such sums as may be provided by law. The Commission shall have such other powers and duties as may be prescribed by law.
    1. Upon request, the Commission may require any business (i) to disclose whether it is an out-of-state business as defined in subsection A of § 44-146.28:2 and (ii) if the business states that it is such, to provide a statement that includes the business's name, state of domicile, principal business address, federal tax identification number, date of entry into the Commonwealth, local contact information, and contact information for any affiliate of such business that has obtained from the Commission a certificate of authority or registration to transact business in the Commonwealth. B. 1.  Upon request, the Commission may require any business (i) to disclose whether it is an out-of-state business as defined in subsection A of § 44-146.28:2 and (ii) if the business states that it is such, to provide a statement that includes the business's name, state of domicile, principal business address, federal tax identification number, date of entry into the Commonwealth, local contact information, and contact information for any affiliate of such business that has obtained from the Commission a certificate of authority or registration to transact business in the Commonwealth.
    2. Upon request, the Commission may require any business entity that has obtained from the Commission a certificate of authority or registration to transact business in the Commonwealth to provide the information required in clause (ii) of subdivision 1 for any affiliate that is an out-of-state business as defined in subsection A of § 44-146.28:2.
    3. The Commission shall maintain a record of such disclosures, statements, and information and shall make the record available to the public.

      (Code 1950, §§ 12-14, 14-11, 14-25; 1964, c. 386, § 14.1-13; 1970, c. 260; 1971, Ex. Sess., c. 157; 1998, c. 872; 2015, c. 595.)

Cross references. - For constitutional provisions relating to powers and duties of the Commission, see Va. Const., Art. IX, § 2.

As to authority of Commission relative to industrialized building units and mobile homes, see §§ 36-70 through 36-85.1.

As to supervision and control of Uninsured Motorists Fund, see § 38.2-3000 et seq.

As to complaints pertaining to construction of electrical transmission lines, see § 56-46.2.

Editor's note. - Acts 2014, c. 311, cl. 1, as amended by Acts 2018, c. 253, cl. 1 provides: " § 1. That from July 1, 2014, until the State Corporation Commission (Commission) has implemented a system that limits the submission of data and documents as required by § 2 of this act, the Commission shall not accept through its eFile electronic registration system (i) articles of dissolution of a business entity or (ii) data or documents that contain officer or director changes.

" § 2. Beginning not later than January 1, 2020, the Commission shall limit the submission of data and documents on behalf of a business entity through its electronic registration system to any user (i) designated to make such submissions on behalf of the business entity and (ii) whose identity has been established satisfactorily through a verification process."

Acts 2016, cc. 255 and 517, cl. 1 provide: "That the State Corporation Commission (the Commission) shall evaluate the establishment of uniform protocols for measuring, verifying, validating, and reporting the impacts of energy efficiency measures implemented by investor-owned electric utilities providing retail electric utility service in the Commonwealth and the establishment of a methodology for estimating annual kilowatt savings and a formula to calculate the levelized cost of saved energy for such energy efficiency measures. The Commission shall promptly commence such evaluation following the effective date of this act and shall receive input from interested parties and the Department of Mines, Minerals and Energy. The Commission shall submit to the Governor and the General Assembly a report of its findings and recommendations by December 1, 2016."

Acts 2018, c. 296, cl. 13 provides: "That each Phase I Utility and each Phase II Utility, as such terms are defined in subdivision A 1 of § 56-585.1 of the Code of Virginia, shall investigate the feasibility of providing broadband Internet services using utility distribution and transmission infrastructure. Such investigation shall include determination of regulatory barriers to such services and proposed legislation to address such barriers. The State Corporation Commission shall assist each such utility in its determination of such barriers and development of proposed legislation. Each such utility shall evaluate whether it is in the public interest and the interest of the utility (i) to make improvements to the distribution grid in furtherance of providing such broadband Internet services in conjunction with its program of electric distribution grid transformation projects; (ii) to operate broadband Internet services using utility distribution and transmission infrastructure to provide broadband Internet services to unserved areas of the Commonwealth; or (iii) to permit a commercial entity to lease such capacity to provide broadband Internet services to unserved areas of the Commonwealth. Each such utility shall report whether it determines such broadband Internet services using utility distribution and transmission infrastructure to be feasible, including the maturity of the technology, the compatibility of such services with existing electric services, the financial requirements to undertake such broadband Internet services, and those unserved areas in the Commonwealth where the provision of such broadband Internet services appears feasible, to the Governor, the State Corporation Commission, the Broadband Advisory Council, and the Chairmen of the House and Senate Committees on Commerce and Labor by December 1, 2018."

Acts 2018, c. 296, cl. 21 provides: "That on or before July 1, 2028, subject to the approval of the State Corporation Commission (the Commission), a Phase I Utility, as that term is defined in subdivision A 1 of § 56-585.1 of the Code of Virginia, shall construct or acquire a generation facility or facilities utilizing energy derived from sunlight with an aggregate capacity of not less than 200 megawatts located in the Commonwealth, which utility-owned generation facility or facilities is in the public interest as is set forth in this act. If a Phase I Utility serves in more than one jurisdiction, and a jurisdiction other than the Commonwealth denies the Phase I Utility recovery of the costs of the generation facility or facilities utilizing energy from sunlight allocated to that jurisdiction, the Phase I Utility can recover all of the costs of the generation facility or facilities utilizing energy from sunlight from its Virginia jurisdictional customers, and all attributes of the generation facility or facilities utilizing energy from sunlight, including energy and capacity shall be assigned to Virginia."

Acts 2018, c. 296, cl. 23 provides: "That within 60 days after the conclusion of each triennial review proceeding conducted pursuant to § 56-585.1 of the Code of Virginia, the State Corporation Commission (the Commission) shall submit a report to the Governor and the General Assembly and the Chairmen of the House and Senate Commerce and Labor Committees describing and quantifying all investments made by the utility during the test period or periods under review in both (i) new utility-owned generation facilities utilizing energy derived from sunlight or from onshore or offshore wind and (ii) electric distribution grid transformation projects, as determined by the utility's plant in service and construction work in progress balances related to such investments as recorded per books by the utility for financial reporting purposes as of the end of the most recent test period under review. The Commission's report shall include, but not be limited to, an analysis of the financial effects of such investments, including the effects on customer rates, customer bill credits, and the earnings and rate base of each utility subject to the triennial review provisions of § 56-585.1."

Acts 2019, c. 399, cl. 1 provides: " § 1. That by September 1, 2019, the State Corporation Commission (Commission) shall convene and facilitate a Data Access Stakeholder group to review and consider the following subjects:

"1. Customer privacy considerations, including the establishment of the definitions for, and the protection of, personally identifiable information and energy usage data resulting from the deployment of advanced metering infrastructure by the electric utility;

"2. The impact of data sharing on the physical and cybersecurity of utility infrastructure and systems;

"3. Aggregating anonymized energy usage data;

"4. The format for data access that is customer-friendly and computer-friendly;

"5. Ensuring that standards and practices for access to data adhere to nationally recognized standards and best practices;

"6. Opt-in/opt-out conditions for access to customers' utility usage data by the electric utility, a contracted agent, and a third party;

"7. Current data access and sharing provisions resulting from the deployment of advanced metering infrastructure implemented by other utilities in the Commonwealth;

"8. Costs of and cost recovery mechanisms for changes to electric utility infrastructure needed to implement regulations; and

"9. Notice requirements by utilities to customers regarding the types of energy usage data being collected, how that data is used by the utility to provide the utility service, how customers can access their data, how the customer can manage and direct what specific information from their energy usage data can be shared, with whom this data can be shared outside the utility, and when the data can be shared.

"The Data Access Stakeholder group shall conclude its work no later than April 1, 2020, and the Commission shall report the recommendations of the Data Access Stakeholder group to the General Assembly."

Acts 2021, Sp. Sess. I, c. 512, cl. 1 provides: " § 1. The State Corporation Commission's Bureau of Insurance (the Bureau) shall make recommendations regarding any necessary statutory changes that would permit the sale of private insurance plans that would help meet the policy goals identified in the ‘Paid Family and Medical Leave Study' published by the Offices of the Secretary of Commerce and Trade and the Chief Workforce Development Advisor in September 2020 and coexist as part of a statewide paid family and medical leave program, administered by the Commonwealth, as outlined in such study. In conducting its review, the Bureau shall convene a stakeholder group to participate in the process, which shall include representatives from the insurance industry, the business community, including small and mid-size businesses that have had difficulty purchasing private insurance in the past, labor organizations, advocates for paid family leave and medical leave, and other interested parties. The Bureau shall report its findings and recommendations to the Senate Committees on Commerce and Labor and Finance and Appropriations and the House Committees on Labor and Commerce and Appropriations by November 30, 2021."

The 1998 amendment, effective October 1, 1998, added the present fifth sentence.

The 2015 amendments. - The 2015 amendment by c. 595, effective March 26, 2015, inserted the A designation and added subsection B.

Law review. - For survey of Virginia municipal corporations and administrative law for the year 1970-1971, see 57 Va. L. Rev. 1572 (1971). For article on siting electric power facilities, see 58 Va. L. Rev. 257 (1972). For article analyzing ratemaking issues under the SCC, see 14 Wm. & Mary L. Rev. 601 (1973). For survey of Virginia property law for the year 1973-1974, see 60 Va. L. Rev. 1583 (1974). For special section on ratemaking and public policy in Virginia, see 18 Wm. & Mary L. Rev. 73 (1976).

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, §§ 2, 17, 23; 15 M.J. Railroads, § 41.

Editor's note. - Some of the cases below were decided under prior law.

CASE NOTES

Constitutionality. - The fact that the State Corporation Commission, created by the Constitution, is invested to a certain extent with legislative, executive and judicial powers does not render it an illegitimate and invalid tribunal. Winchester & S.R.R. v. Commonwealth, 106 Va. 264 , 55 S.E. 692 (1906).

The Constitution and laws of this State which give to the State Corporation Commission control over common carriers of persons and goods in matters affecting their public duties and charges, require notice to such carriers, give them the most ample opportunity to be heard on all matters of law and fact which they may desire to allege or put forward in their defense, and in event of an adverse decision an appeal of right to the Supreme Court, regardless of the amount in controversy. Such legislation does not deprive them of their property without due process of law, and is not otherwise unconstitutional. Winchester & S.R.R. v. Commonwealth, 106 Va. 264 , 55 S.E. 692 (1906).

The procedures prescribed for protecting consumers' interests satisfy the requirements of the due process clause of the Virginia Constitution and the due process and equal protection clauses of the Fourteenth Amendment to the Constitution of the United States. Howell v. SCC, 214 Va. 128 , 198 S.E.2d 611 (1973).

The Commission's powers are derived from the Constitution and statutes. - The Corporation Commission is the creation of the Constitution and has no inherent power. All of its jurisdiction is either conferred by the Constitution or derived from statutes which do not contravene the Constitution. City of Richmond v. C & P Tel. Co., 127 Va. 612 , 105 S.E. 127 (1920).

It is not a mere ministerial body. - The Corporation Commission derives its authority from the Constitution of Virginia and is vested with powers both legislative and judicial. It is the department of government through which are carried out the provisions of the Constitution and of the laws made in pursuance thereof for the control of corporations. It can in no case be considered a mere ministerial body. In re Tidewater & W.R.R., 3 Va. L. Reg. (n.s.) 257 (1917).

And the ministerial functions of the Commission do not abrogate its constitutional prerogatives. - No mere ministerial function imposed upon the Corporation Commission can be given the effect of abrogating and taking away its plain constitutional prerogatives. In re Tidewater & W.R.R., 3 Va. L. Reg. (n.s.) 257 (1917).

A statute divesting its powers must show clear intention. - Any statute which has for its purpose the divesting of the power of the Corporation Commission over railroad corporations in their public relations must show the intention of the legislature in no uncertain terms. In re Tidewater & W.R.R., 3 Va. L. Reg. (n.s.) 257 (1917).

Supervision of railway corporations belongs to Commission. - The obligations imposed upon railway corporations in this State, whether by the Constitution, statutes, or the common law, are obligations imposed by law. The supervision of the discharge of these obligations is committed to the Corporation Commission. Southern Ry. v. Commonwealth, 128 Va. 176 , 105 S.E. 65 (1920).

Jurisdiction over out of state based risk retention group. - Where State Corporation Commission administered all laws regulating corporations operating in the state and had specific regulatory jurisdiction over risk retention groups plainly, then, the SCC had subject matter jurisdiction over a Colorado-based risk retention group. National Home Ins. Co. v. SCC, 838 F. Supp. 1104 (E.D. Va. 1993).

Federal court involvement in proceeding initiated in state judiciary. - Comity and Congress demand that the federal district court not interfere with the proceeding first initiated by the State Corporation Commission in the state judiciary. Employers Resource Mgt. Co. v. Shannon, 869 F. Supp. 398 (E.D. Va. 1994), aff'd, 65 F.3d 1126 (4th Cir. 1995), cert. denied, 516 U.S. 1094, 116 S. Ct. 816, 133 L. Ed. 2d 761 (1996).

Commission not bound by proposals of staff. - Any accounting adjustments proposed or accepted by the Corporation Commission staff can be no more than recommendations to be adopted or rejected by the Commission, and no acceptance by a company of staff adjustments can bind the Commission. Roanoke Gas Co. v. Division of Consumer Counsel, 219 Va. 1072 , 254 S.E.2d 102 (1979).

Power of Commission to require performance of "public duty" of public service corporation under former § 12-14. - See Commonwealth ex rel. Att'y Gen. v. Atlantic C.L.R.R., 106 Va. 61 , 55 S.E. 572 (1906); Commonwealth ex rel. Norton Bd. of Trade, Inc. v. Norfolk & W. Ry., 111 Va. 59 , 68 S.E. 351 (1910); Danville & W. Ry. v. Lybrook, 111 Va. 623 , 69 S.E. 1066 (1911); Southern Ry. v. Commonwealth, 124 Va. 36 , 97 S.E. 343 (1918); Southern Ry. v. Commonwealth, 128 Va. 176 , 105 S.E. 65 (1920); Norfolk & W. Ry. v. Commonwealth, 143 Va. 106 , 129 S.E. 324 (1925). See also Wood v. Kane, 143 Va. 281 , 129 S.E. 327 (1925); Light v. City of Danville, 168 Va. 181 , 190 S.E. 276 (1937).

Authority of Commission to set water surcharge. - State Corporation Commission (SCC) had the statutory authority to approve a proposed water and wastewater infrastructure surcharge given the broad authority granted in §§ 12.1-12 , 56-235, and 56-235.2, the SCC's analysis looked at all of the facts presented in the aggregate and in light of the statutory factors, there was nothing legally unprecedented about the approval, and the grant of additional powers in other statutory provisions did not limit or restrict the SCC's general ratemaking power. City of Alexandria v. State Corp. Comm'n, 296 Va. 79 , 818 S.E.2d 33, 2018 Va. LEXIS 103 (2018).

§ 12.1-13. Commission to have powers of court of record; rules and regulations; fines.

In all matters within the jurisdiction of the Commission, it shall have the powers of a court of record to administer oaths, to compel the attendance of witnesses and the production of documents, to punish for contempt, and to enforce compliance with its lawful orders or requirements by adjudging and enforcing by its own appropriate process such fines or other penalties as may be prescribed or authorized by law.

In the administration and enforcement of all laws within its jurisdiction, the Commission shall have the power to promulgate rules and regulations, to impose and collect such fines or other penalties as are provided by law, to enter appropriate orders, and to issue temporary and permanent injunctions. The Commission is empowered to suspend or revoke any Commission-issued license, certificate, registration, permit, or any other Commission-issued authority of any person who fails to satisfy any fine or penalty imposed by an order of the Commission.

Whenever no fine or other penalty is specifically imposed by statute for the failure of any such individual or business conducted by any entity other than an individual to comply with any provision of law or with any valid rule, regulation, or order of the Commission, the Commission may impose and collect from such individual or business conducted by any entity other than an individual a fine in an amount not to exceed $5,000 in the case of an individual, and in the case of a business conducted by any entity other than an individual not to exceed $10,000.

(Code 1950, § 12-14; 1971, Ex. Sess., c. 157; 1992, c. 11; 2000, c. 986.)

Cross references. - As to penalties and liabilities of real estate settlement agents, see § 55.1-1015.

The 2000 amendments. - The 2000 amendment by c. 986, in the last paragraph, substituted "individual or business conducted by any entity other than an individual" for "person" twice, and substituted "$5,000" for "$500," "business conducted by any entity other than an individual" for "corporation" and "$10,000" for "$5,000."

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, § 31.

CASE NOTES

Authority to enter judgment limited to matters within jurisdiction. - The authority of the Commission to enter up judgment for the recovery of money is limited to those matters of which it has jurisdiction. Commonwealth ex rel. Town of Appalachia v. Old Dominion Power Co., 184 Va. 6 , 34 S.E.2d 364, cert. denied, 326 U.S. 760, 66 S. Ct. 139, 90 L. Ed. 457 (1945) (decided under prior law).

§ 12.1-14. Commission's power to impose penalties does not relieve from other penalties.

The penalties which the Commission is authorized by law to impose on any person shall not be construed to relieve such person from any other penalties which may be authorized by law.

(Code 1950, § 12-19; 1971, Ex. Sess., c. 157.)

§ 12.1-15. Power to compromise and settle; power to waive penalties and charge off delinquent taxes, etc.

The Commission shall have power and authority in any matter, claim, or charge within its jurisdiction, under any provision of law heretofore or hereafter enacted, to compromise or settle any matter, claim, or charge, either by or in a formal proceeding, or informally, whether any proceeding shall have been instituted or not. The Commission shall have the power and authority to dismiss any proceeding which is pending and in which a compromise or settlement is effected without making a formal record of such compromise or settlement, in its sound judicial discretion. Any compromise or settlement may include provisions for reimbursement to the Commission to defray the costs, or a portion thereof, of any audit, investigation, or examination conducted.

The power and authority of the Commission to make compromises and settlements hereby conferred shall extend to its jurisdiction to impose fines and penalties under any provision of law heretofore or hereafter enacted.

Nothing herein contained, however, shall be construed to authorize or empower the Commission to effect any compromise or settlement involving the payment of money into the treasury without some record or memorandum of such compromise or settlement in the clerk's office of the Commission.

The Commission shall have power and authority to waive the assessment of any penalty or interest upon any tax or fee assessed by the Commission, and to abate and exonerate any such penalty or interest, whether heretofore or hereafter assessed, for providential or other good cause shown to the satisfaction of the Commission, or in cases where the collection thereof cannot be economically effected because the cost of collection exceeds the amount recoverable.

The Commission shall have power and authority to charge off delinquent taxes and registration fees on its books when the claims therefor are worthless or cannot be economically collected, and shall notify the State Tax Commissioner and the Comptroller of such action in such detail and at such times as they may require. The Commission shall maintain records which indicate the reason for the charge off for a period of three years.

(Code 1950, § 12-20; 1971, Ex. Sess., c. 157; 1975, c. 236; 1991, c. 128.)

Law review. - For survey of Virginia administrative law for the year 1974-1975, see 61 Va. L. Rev. 1632 (1975).

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, § 18; 18 M.J. Taxation, § 27.

CASE NOTES

No power to exempt receipts from taxes. - This section authorizes the State Corporation Commission to compromise or settle a dispute over the amount of tax due under an assessment, but it does not empower the Commission to exempt particular receipts from gross receipts taxes. Commonwealth ex rel. Att'y Gen. v. Washington Gas Light Co., 221 Va. 315 , 269 S.E.2d 820 (1980).

§ 12.1-15.1. Power to employ counsel for and indemnify employees.

The Commission shall have the power to retain counsel for and to indemnify its employees and agents who were or are parties or are threatened to be made parties to any threatened, pending or completed action, suit or proceeding whether civil, criminal, administrative, arbitrative or investigative, by reason of the fact that they are or were employees or agents of the Commission or are or were serving at the request of the Commission as directors, officers, employees or agents of another entity, against expenses, including attorney's fees, reasonably incurred by them in connection with such action, suit or proceeding if the Commission or any court of record to whom the matter shall be submitted shall find the employees or agents acting in good faith and in a manner they reasonably believe to be in the best interest of the duties assigned to them by law or the Commission.

(1976, c. 341.)

§ 12.1-16. Delegation to employees and agents; Commissioner of Financial Institutions and Commissioner of Insurance.

In the exercise of the powers and in the performance of the duties imposed by law upon the Commission with respect to insurance and banking, the Commission may delegate to such employees and agents as it may deem proper such powers and require of them, or any of them, the performance of such duties as it may deem proper. The employee or agent who is placed by the Commission at the head of the bureau or division through which it administers the banking laws shall be designated "Commissioner of Financial Institutions," and the employee or agent who is placed by the Commission at the head of the bureau or division through which it administers the insurance laws shall be designated "Commissioner of Insurance," and they and all deputies, agents, and employees used in such bureau or division shall be appointed by the Commission.

(Code 1950, § 12-16; 1971, Ex. Sess., c. 157; 1978, c. 14.)

Law review. - For article analyzing ratemaking issues under the SCC, see 14 Wm. & Mary L. Rev. 601 (1973).

Michie's Jurisprudence. - For related discussion, see 10A M.J. Insurance, § 2; 15 M.J. Public Service and State Corporation Commissions, § 2.

§ 12.1-17. Deposits of funds; means of payment; dishonored payments; receipts for payment.

  1. All funds received by the Commission in the course of its duties shall be paid promptly to the State Treasurer or deposited promptly in banks designated by the State Treasurer to the credit of the State Treasurer.
  2. The Commission may accept payment of any amount due by any means acceptable to the Commission, including by check, credit card, debit card, and electronic funds transfer. The Commission may add to any amount due a sum, not to exceed the amount charged to the Commission, for acceptance of any payment by a means that incurs a charge to the Commission, or it may absorb a portion or all of the cost of such charge.
  3. If any check or other means of payment is dishonored, declined, refused, reversed, charged back to the Commission, returned to the Commission unpaid, or otherwise rejected for any reason by a financial institution or other third party, the amount of the check or other means of payment shall be charged to the person on whose account it was received and his liability and that of his sureties shall be as if payment had never been made. A penalty of $35 or the amount of any cost incurred by the Commission, whichever is greater, shall be added to such amount. This penalty shall be in addition to any other penalty provided by law, except the penalty imposed by § 58.1-12 shall not apply. Any penalties received by the Commission under this section shall be set aside and paid into the special fund (i) created under § 13.1-775.1 , in the case of penalties received by the clerk's office, or (ii) into which the payment that caused the penalty was to be deposited, in the case of penalties otherwise received by the Commission.
  4. The Commission shall issue receipts for all currency received for payments in the course of its duties.

    (Code 1950, §§ 12-24, 12-25; 1971, Ex. Sess., c. 157; 1986, c. 15; 1995, c. 238; 2002, c. 719; 2013, c. 21; 2017, c. 486.)

The 2002 amendments. - The 2002 amendment by c. 719 deleted "payment by bad check;" in the section catchline; combined former subsections A and B as present subsection A, and rewrote that subsection; and redesignated former subsection C as present subsection B.

The 2013 amendments. - The 2013 amendment by c. 21 designated the former second paragraph of subsection A as subsection C and rewrote it, added subsection B, and redesignated former subsection B as subsection D.

The 2017 amendments. - The 2017 amendment by c. 486 added "or it may absorb a portion or all of the cost of such charge" in the last sentence of subsection B.

Chapter 4. Subordinate Employees of the Commission.

Sec.

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, §§ 2, 17, 30.

§ 12.1-18. Subordinates and employees to be appointed to serve at pleasure of Commission.

The Commission shall appoint a clerk and his deputies and assistants, a bailiff, all necessary heads and assistant heads of divisions and bureaus, all necessary regular and special counsel notwithstanding the provisions of Chapter 5 (§ 2.2-500 et seq.) of Title 2.2, and such other subordinates and employees as may be necessary to the proper discharge of its duties, all of whom shall serve at the pleasure of the Commission.

(Code 1950, § 12-39; 1971, Ex. Sess., c. 157; 1991, c. 123.)

Cross references. - As to clerical force, see also § 2.2-101 .

Editor's note. - Acts 1995, c. 811, cl. 5, effective April 6, 1995, provides: "That the following employees shall not be eligible for the incentive programs established by the second and third enactments of this act: (i) members of the Judicial Retirement System ( § 51.1-300 et seq. of the Code of Virginia); (ii) members of the State Police Officers' Retirement System ( § 51.1-200 et seq. of the Code of Virginia), except as provided in the tenth enactment of this act; (iii) 'law-enforcement officers' as defined in § 9-169 of the Code of Virginia and 'correctional' and 'jail officers' as defined in § 53.1-1 of the Code of Virginia, (iv) presidents and teaching and research faculty as defined in the Consolidated Salary Authorization for Faculty Positions in Institutions of Higher Education, 1994-95, at state educational institutions, except as provided in the ninth enactment of this act; and (v) employees whose positions are contingent upon project grants as defined in the Catalogue of Federal Domestic Assistance. Otherwise eligible employees desiring to participate in the incentive programs established by the second and third enactments of this act shall submit a signed application to their agency head. Submission of such signed application no later than March 31, 1995, shall satisfy the requirement that written notification of an eligible employee's request to participate in these incentive programs be provided by such date. Such employees shall not be eligible for these incentive programs unless accepted by the appropriate governing authority. The agency shall notify applying employees whether their application has been accepted by April 15, 1995. The criteria for evaluation and acceptance of an application shall be subject to policies and procedures developed by the appropriate governing authority. As used herein, the 'governing authority' shall mean (i) for an agency in the executive branch, the Governor or his designee; (ii) for an agency in the judicial branch, the Supreme Court of Virginia; and (iii) for an agency in the legislative branch or an independent agency, the appropriate collegial body."

Acts 1995, c. 152, cl. 6, effective March 10, 1995, and Acts 1995, c. 811, cl. 6, effective April 6, 1995, provide: "That any eligible employee who elects to participate in an incentive program established by the second or third enactments of this act shall not be employed in any capacity, or hired in an individual capacity as an independent contractor or consultant to perform essentially the same functions as performed by the employee at the time of his resignation or retirement, by the Commonwealth for two years after his date of separation from employment."

Acts 1995, c. 152, cl. 7, effective March 10, 1995, and Acts 1995, c. 811, cl. 7, effective April 6, 1995, provide: "That in keeping with the purposes of this act, an otherwise eligible employee who, on or after January 1, 1995, elects to participate in any other program providing incentives for voluntary termination of employment offered by the Commonwealth shall be eligible, under the conditions specified, for the benefits established by the second and third enactments of this act, but in no event shall an employee receive the benefits of more than one incentive program."

Acts 1995, c. 152, cl. 8, effective March 10, 1995, and Acts 1995, c. 811, cl. 8, effective April 6, 1995, provide: "That any employee who leaves his employment with the Commonwealth pursuant to this act shall be paid for his annual and sick leave balances, if any, in accordance with the applicable administrative policies and procedures in effect on July 1, 1994."

Law review. - For survey of Virginia law on municipal corporations and administrative law for the year 1970-1971, see 57 Va. L. Rev. 1572 (1971). For article on the evolution of the State Corporation Commission, see 14 Wm. & Mary L. Rev. 523 (1973). For article analyzing the financial barriers to public participation in the regulatory activities of the SCC, see 14 Wm. & Mary L. Rev. 567 (1973).

CASE NOTES

Proposals of staff not binding on Commission. - Any accounting adjustments proposed or accepted by the Corporation Commission staff can be no more than recommendations to be adopted or rejected by the Commission, and no acceptance by a company of staff adjustments can bind the Commission. Roanoke Gas Co. v. Division of Consumer Counsel, 219 Va. 1072 , 254 S.E.2d 102 (1979).

§ 12.1-19. Duties of clerk; records; copies; personal identifiable information; records related to the administrative activities of the Commission; unauthorized filings.

  1. The clerk of the Commission shall:
    1. Keep a record of all the proceedings, orders, findings, and judgments of the public sessions of the Commission, and the minutes of the proceedings of each day's public session shall be read and approved by the Commission and signed by its chairman, or acting chairman;
    2. Subject to the supervision and control of the Commission, have custody of and preserve all of the records, documents, papers, and files of the Commission, or which may be filed before it in any complaint, proceeding, contest, or controversy, and such records, documents, papers, and files shall be open to public examination in the office of the clerk to the same extent as the records and files of the courts of this Commonwealth;
    3. When requested, make and certify copies from any record, document, paper, or file in the clerk's office, and if required, affix the seal of the Commission (or a facsimile thereof) thereto, and otherwise furnish and certify information from the Commission records by any means the Commission may deem suitable; and, except when made at the instance of the Commission or on behalf of the Commonwealth, a political subdivision of the Commonwealth, or the government of the United States, the clerk shall charge and collect the fees fixed by §§ 12.1-21.1 and 12.1-21.2 ; and any such copy or information, so certified, shall have the same faith, credit, and legal effect as copies made and certified by the clerks of the courts of this Commonwealth from the records and files thereof;
    4. Certify all allowances made by the Commission to be paid out of the public treasury for witness fees, service of process, or other expenses;
    5. Issue all notices, writs, processes, or orders awarded by the Commission, or authorized by law, or by the rules of the Commission;
    6. Receive all fines and penalties imposed by the Commission, all moneys collected on judgments, all registration fees required by law to be paid by corporations, limited liability companies, and other types of business entities, including delinquencies thereof, and all other fees collected by the Commission, and shall keep an accurate account of the same and the disposition of such receipts and shall, at least once in every 30 days during the clerk's term of office, render a statement of all such receipts and collections to the Comptroller, and pay the same into the treasury of the Commonwealth, and shall keep all such other accounts of such collections and disbursements, and shall make all such other reports thereof as may be required by law or by the regulations prescribed by the Comptroller; and
    7. Generally have the powers, discharge the functions, and perform the duties of a clerk of a court of record in all matters within the jurisdiction of the Commission. The Commission may designate one or more deputies or assistants of the clerk who may discharge any of the clerk's official duties during the clerk's continuance in office.
  2. A person who prepares or submits to the office of the clerk of the Commission a document or any information for filing with the Commission pursuant to Title 8.9A, Title 13.1, or Title 50 is responsible for ensuring that the document or information does not contain any personal identifiable information, unless such information is otherwise publicly available or is required or authorized by law to be included in the document or information provided. For purposes of this subsection, "personal identifiable information" means (i) a social security number or any other numbers appearing on driver's licenses or other documents issued under Chapter 3 (§ 46.2-300 et seq.) of Title 46.2 or the comparable law of another jurisdiction; (ii) information on credit cards, debit cards, bank accounts, or other electronic billing and payment systems; (iii) a date of birth identified with a particular individual; (iv) the maiden name of an individual's parent; or (v) any financial account number. Any person who prepares or submits to the office of the clerk a document for filing that contains personal identifiable information shall be deemed to have authorized the clerk or any member of the clerk's staff to remove, delete, or obliterate, without prior notice, such information prior or subsequent to recording or filing the document in the office of the clerk. Nothing in this subsection shall be deemed to require the clerk to alter any document submitted for filing. The clerk may refuse to accept for filing any document that includes personal identifiable information and return it for modification or explanation. The Commission, its members, the clerk of the Commission, and any member of the clerk's staff are immune from liability in any proceeding arising from any acts or omissions in the implementation of this subsection. This subsection shall not be construed to limit, withdraw, or overturn any defense or immunity that exists under statutory or common law.
    1. The Commission shall make available for public inspection records related to the administrative activities of the Commission. C. 1.  The Commission shall make available for public inspection records related to the administrative activities of the Commission.
    2. Disclosure of such records shall not be required, however, if (i) such records are otherwise covered by applicable legal privileges, (ii) disclosure of such records could threaten the safety or security of the Commission's employees, physical plant, or information technology assets or data, or (iii) such records are not publicly available from other public entities under the laws of the Commonwealth, including §§ 2.2-3705.1 and 2.2-4342 .
    3. Records held by the clerk of the Commission related to business entities shall be made public or held confidential in accordance with laws and regulations applicable specifically to such records.
    4. The Commission shall respond within five business days of receiving requests for administrative records. If it is impracticable to provide the records requested within such time period, the Commission shall notify the requester that an additional seven business days will be required, unless due to the scope of the records requested or length of search necessary to locate them the Commission requires additional time, which shall not be unreasonable in length. When any such requested records are not provided, the Commission shall notify the requester of the basis of the denial.
    5. As used in this subsection, "administrative activities" means matters related to the Commission's operational responsibilities and operational functions, including its revenues, expenditures, financial management and budgetary practices, personnel policies and practices, and procurement policies and practices. "Administrative activities" shall not include the Commission's formal or informal regulatory or legal proceedings or activities, records related to which shall be governed, inter alia, by laws and regulations applicable specifically to such regulatory and legal proceedings or activities, or in accordance with applicable legal privileges.
  3. Notwithstanding any other provision of law, the clerk may review the circumstances surrounding the execution or delivery of any document associated with any business entity of record in the office of the clerk that was submitted for filing under a business entity statute administered by the Commission pursuant to Title 13.1 or Title 50. If the clerk determines that the person who executed or delivered the document was without authority to act on behalf of the business entity, the clerk is authorized (i) to refuse to accept the document for filing or (ii) if the document has been filed, to summarily remove the document and any documents and data related to the filing from the records in the office of the clerk, correct such records, and provide notice to any business entity affected by the filing. The Commission, its members, the clerk of the Commission, and any member of the clerk's staff are immune from liability in any proceeding arising from any acts or omissions in the implementation of this subsection. This subsection shall not be construed to limit, withdraw, or overturn any defense or immunity that exists under statutory or common law.

    (Code 1950, § 12-41; 1964, c. 551; 1971, Ex. Sess., c. 157; 1985, cc. 528, 607; 1991, c. 123; 2001, c. 545; 2002, c. 1; 2010, c. 513; 2014, cc. 174, 197, 347; 2020, cc. 1227, 1246.)

Cross references. - As to disclosure of information by the State Corporation Commission, see § 6.2-101 .

Editor's note. - Acts 2020, cc. 1227 and 1246, cl. 2 provides: "That the provisions of this act shall become effective on January 1, 2021."

The 2001 amendments. - The 2001 amendment by c. 545, effective February 1, 2002, substituted " §§ 12.1-21.1 and 12.1-21.2 " for " § 13.1-617 " in subdivision 3. See Editor's note.

The 2010 amendments. - The 2010 amendment by c. 513 inserted the subsection A designation; in subdivision A 3, inserted "and certify" and "or information"; and added subsection B.

The 2014 amendments. - The 2014 amendments by cc. 174 and 347 are identical, and added subsection C.

The 2014 amendment by c. 197 made gender neutral changes throughout the section; in subdivision A 6 deleted "and franchise taxes" following "all registration fees," inserted "limited liability companies, and other types of business entities," and substituted "30" for "thirty"; added subsection C, which was subsequently redesignated as subsection D at the direction of the Virginia Code Commission; and made minor stylistic changes.

The 2020 amendments. - The 2020 amendments by cc. 1227 and 1246, effective January 1, 2021, are identical, and inserted "or other documents issued under Chapter 3 ( § 46.2-300 et seq.) of Title 46.2 or the comparable law of another jurisdiction" in clause (i) of subsection B.

Law review. - For article analyzing the financial barriers to public participation in the regulatory activities of the SCC, see 14 Wm. & Mary L. Rev. 567 (1973).

CASE NOTES

"Consumer intervenor" not exempted from costs of appeal. - There are no statutes or constitutional provisions exempting a "consumer intervenor" in hearings before the State Corporation Commission from the payment of the normal costs of an appeal. Howell v. SCC, 214 Va. 128 , 198 S.E.2d 611 (1973).

Applied in Christian v. State Corp. Comm'n, 282 Va. 392 , 718 S.E.2d 767, 2011 Va. LEXIS 217 (2011).

§ 12.1-19.1. Service of process on the clerk of the State Corporation Commission as statutory agent.

  1. Whenever by statute the clerk of the Commission is appointed or deemed to have been appointed the agent of any individual, corporation, limited partnership or other entity for the purpose of service of any process, notice, order or demand, except one issued by the Commission, service on the clerk shall be made by leaving two copies of the process for each defendant, together with the fee or fees specified in subsection G of this section, in the office of the clerk of the Commission. The party seeking service shall recite the statute or other authority pursuant to which process is being served and shall include the mailing address of the defendant in accordance with subsection D or subsection F of this section.
  2. The clerk or any of his staff shall forthwith mail the process to the defendant at the address supplied by the party seeking service and shall keep a record thereof. The clerk shall file a certificate of compliance with the requirements of this section with the other papers in the proceeding giving rise to the service.
  3. Any process, notice, order or demand issued by the Commission shall be served by being mailed by the clerk of the Commission or any of his staff to (i) the registered agent at his office address on record with the Commission or, if no such agent or address is on record with the Commission, then (ii) the defendant at the address specified in subsection D or provided pursuant to subsection F of this section. The clerk shall keep a record of any such service.
  4. The address for the mailing of process pursuant to this section shall be the address on record with the Commission, as follows:
    1. The principal office address of a domestic corporation, or, if no such address is on record with the Commission, the address of any officer or director of the corporation.
    2. The principal office address of a foreign corporation authorized to transact business in Virginia, or, if no such address is on record with the Commission, the address of any officer or director of the corporation, or, in case of withdrawal from the Commonwealth, the address shown in the application for withdrawal or any change thereto.
    3. The principal office address of a limited partnership on record with the Commission pursuant to the Virginia Revised Uniform Limited Partnership Act (§ 50-73.1 et seq.), or, if no such address is on record with the Commission, the address of any general partner or the address listed in a foreign limited partnership's certificate of cancellation or any change thereto.
    4. If the defendant is an individual or entity other than one specified in subdivision 1, 2, or 3 of this subsection, the address set forth in any document on record with the Commission which is required or permitted to be filed by or on behalf of the defendant.
  5. Except as provided in subsection F of this section, the names and addresses as last filed with the Commission pursuant to law shall be conclusive for the purpose of service of process.
  6. Whenever the party or bureau or division of the Commission seeking service has knowledge of a defendant's current address which differs from that on record with the Commission he may, and, in the event the Commission does not have a record of the defendant's address he shall, provide the latest known mailing address of the defendant.
  7. The clerk of the Commission shall charge and collect at the time of any service of process on him as statutory agent, thirty dollars for each defendant named in the process, which amount may be recovered as taxable costs by the party to the proceeding giving rise to such service if such party prevails in the proceeding.

    (1991, c. 672; 2010, c. 675.)

Cross references. - As to service under the Virginia Business Trust Act, see § 13.1-1223 .

The 2010 amendments. - The 2010 amendment by c. 675 substituted "the Commonwealth" for "this Commonwealth" in subdivision D 2, and substituted "principal" for "specified" in subdivision D 3.

CASE NOTES

Service of process. - If an attorney for a judgment creditor could find no designated officer or employee of an employer within the Commonwealth of Virginia, then the attorney was required either to serve a registered agent of the employer or to serve the clerk of the Virginia State Corporation Commission. Mailing a garnishment order to the payroll department of the employer in another state was an impermissible method of service. Becker v. Commonwealth, 64 Va. App. 481, 769 S.E.2d 683, 2015 Va. App. LEXIS 88 (2015).

§ 12.1-20. Facts to be certified by clerk upon request; signing and sealing; fees.

The clerk of the Commission shall, when requested, certify any one or more of the following facts:

  1. That a named domestic corporation is organized and existing under and by virtue of the laws of the Commonwealth and whether it is in good standing.
  2. That a named foreign corporation of a named state or other jurisdiction is authorized to transact business in the Commonwealth and whether it is in good standing in the Commonwealth.
  3. That a particular security has or has not been registered for sale in the Commonwealth pursuant to the provisions of the Securities Act (§ 13.1-501 et seq.).
  4. That a statement or other document required or permitted by law to be filed in the office of the clerk of the Commission has not been filed in that office.
  5. The existence or nonexistence of any other fact appearing from the official records of the Commission, unless the disclosure of such fact is forbidden by law, regulation, or legal privilege. The certificate shall be signed by the clerk or by a member of the clerk's staff and shall be sealed with the seal of the Commission, or a facsimile thereof. Any signature may be a facsimile. When so sealed, the certificate shall be admitted in evidence in all cases, civil and criminal, as prima facie evidence of the facts contained in it. For each certificate, the clerk shall charge and collect fees pursuant to § 12.1-21.1 or subsection C of § 12.1-21.2 . (Code 1950, § 12-41.1; 1962, c. 219; 1971, Ex. Sess., c. 157; 1982, c. 564; 1985, c. 522; 1991, c. 123; 2001, c. 545; 2002, c. 1; 2010, c. 669; 2015, c. 446.)

The 2001 amendments. - The 2001 amendment by c. 545, effective February 1, 2002, substituted " § 12.1-21 .1 or subsection D of § 12.1-21.2 " for " § 12.1-21 " in the last paragraph. See Editor's note.

The 2010 amendments. - The 2010 amendment by c. 669 inserted "or a facsimile thereof" in the next-to-last paragraph, and rewrote the last paragraph, which formerly read: "Except as otherwise provided in § 12.1-21.1 or subsection D of § 12.1-21.2 , the clerk shall charge and collect a fee of six dollars for each certificate."

The 2015 amendments. - The 2015 amendment by c. 446 rewrote the section.

§ 12.1-21.

Repealed by Acts 2000, c. 1007, effective July 1, 2001.

Cross references. - For current provisions as to fees to be charged by clerk for certain certificates, see § 12.1-21.1 .

Editor's note. - Former § 12.1-21 , relating to fees to be charged by clerk for certain certificates was derived from Code 1950, § 12-41.2; 1966, c. 345; 1971, Ex. Sess., c. 157; 1984, c. 771; 1987, c. 170; 1992, c. 377.

§ 12.1-21.1. Fees to be charged by clerk for certain information and certificates.

  1. When a request made under subdivision A 3 of § 12.1-19 or under § 12.1-20 relates to the Uniform Commercial Code, or when a request for information is made under Title 8.9A, the clerk of the Commission shall charge and collect, except as otherwise provided in subsection C of § 12.1-21.2 , the fees as are fixed by Commission order or rule.
  2. Any response or certificate shall be signed by the clerk or a member of his staff. Any signature may be a facsimile.
  3. Any certificate to which the seal of the Commission, or a facsimile thereof, is affixed shall be admitted in evidence in all cases, civil and criminal, as prima facie evidence of the facts contained in it.
  4. No action shall be brought against the Commission or any member of its staff claiming damages for alleged errors or omissions in any response or certificate.
  5. Notwithstanding the provisions of § 8.9A-525 , if the Commission determines that a person was falsely identified as a debtor in a financing statement filed in the office of its clerk, it may waive payment of the fees for that person to file a termination statement pursuant to subdivision (d)(2) of § 8.9A-509 and an information statement pursuant to § 8.9A-518 . (2000, c. 1007; 2001, c. 545; 2002, c. 1; 2005, c. 308; 2007, c. 239; 2010, c. 669; 2013, c. 757; 2017, c. 486.)

The 2001 amendments. - The 2001 amendment by c. 545, effective February 1, 2002, inserted "except as otherwise provided in subsection D of § 12.1-21.2 " in subsection A. See Editor's note.

The 2005 amendments. - The 2005 amendment by c. 308 added subsection E and made minor stylistic changes.

The 2007 amendments. - The 2007 amendment by c. 239 substituted "$0.50 per page" for "$1 for each of the first two pages and $0.50 for each additional page thereafter" in subdivision A 2; and substituted "$3" for "$1" in subdivision A 3.

The 2010 amendments. - The 2010 amendment by c. 669 rewrote subsection A; and inserted "or a facsimile thereof" in subsection C.

The 2013 amendments. - The 2013 amendment by c. 757, in subsection E, substituted "a debtor in a financing statement" for "a debtor on a financing statement" and "an information statement" for "a correction statement."

The 2017 amendments. - The 2017 amendment by c. 486 substituted "the fees" for "reasonable fees" in subsection A.

§ 12.1-21.2. Miscellaneous charges.

  1. For making up, certifying and transmitting a record on appeal the clerk shall charge and collect $50.
  2. Except as otherwise provided by law, the Commission may charge and collect the fees as are fixed by order or rule for furnishing and certifying a copy of any document or any information from its records and may charge and collect reasonable fees for providing records from an electronic data processing system, computer database, or any other structured collection of data. Such fees, when collected, shall be set aside and paid into the special fund created under § 13.1-775.1 .
  3. In addition to other fees prescribed by law, the Commission may charge and collect fees for (i) requested expedited or special handling of business entity or Uniform Commercial Code filings processed in its Clerk's Office, (ii) requested expedited provision of copies of records in its Clerk's Office, or (iii) requested expedited provision of services, or the issuance of certificates, pursuant to subdivision A 3 of § 12.1-19 , or under § 12.1-20 or § 12.1-21.1 . Such fees, when collected, shall be set aside and paid into the special fund created under § 13.1-775.1 . (2001, c. 545; 2002, c. 1; 2006, c. 192; 2010, c. 669; 2017, c. 486.)

Editor's note. - At the direction of the Virginia Code Commission, "subdivision A 3" was substituted for "subdivision 3" to conform to Acts 2010, c. 513.

Effective date. - This section is effective February 1, 2002. See Editor's note.

The 2006 amendments. - The 2006 amendment by c. 192, in subsection A, substituted "$0.50 per page" for "one dollar per page for the first two pages and fifty cents for each page thereafter."

The 2010 amendments. - The 2010 amendment by c. 669 rewrote the section.

The 2017 amendments. - The 2017 amendment by c. 486 in subsection B, substituted "may charge and collect the fees as are fixed by order or rule" for "shall charge and collect reasonable fees" and "records from an electronic data processing system, computer database, or any other structured collection of data" for "access to or utilization of its records by computer or other means."

Law review. - For article, "Corporate and Business Law," see 35 U. Rich. L. Rev. 499 (2001).

§ 12.1-22.

Repealed by Acts 1991, c. 123.

§ 12.1-23. Duties and powers of bailiff and deputy bailiff.

The bailiff and deputy bailiffs of the Commission shall, in all matters within the jurisdiction of the Commission, have the powers, discharge the functions, and perform the duties of a sheriff or sergeant under the law, shall preserve order during the public sessions of the Commission, and may make arrests and serve and make return on any writ or process awarded by the Commission, and execute any writ, order, or process of execution awarded upon the findings or judgments of the Commission in any matter within its jurisdiction.

(Code 1950, § 12-43; 1971, Ex. Sess., c. 157; 1981, c. 100.)

Law review. - For article on the evolution of the State Corporation Commission, see 14 Wm. & Mary L. Rev. 523 (1973).

§ 12.1-24. Bonds of members of staff.

The Commission may obtain one or more blanket bonds covering members of its staff conditioned for the faithful and lawful performance of their official duties. The surety shall be a surety company authorized to transact business in Virginia. A member of the staff of the Commission who is covered by a blanket bond to the extent of $20,000 shall not be required to furnish a separate bond.

(Code 1950, § 12-45; 1968, c. 51; 1971, Ex. Sess., c. 157.)

Chapter 5. Procedure Before the Commission and Appeals.

Sec.

§ 12.1-25. Rules of practice and procedure.

The Commission shall prescribe its own rules of practice and procedure not inconsistent with those made by the General Assembly. Such rules shall be printed and entered upon the records of the Commission. Copies of such rules shall be furnished to county and city clerks and to any citizen of this Commonwealth who makes application therefor.

(Code 1950, § 12-49; 1971, Ex. Sess., c. 157.)

Cross references. - For constitutional provisions concerning procedure before the Commission and appeals from the Commission, see Va. Const., Art. IX, § 3.

Law review. - For survey of Virginia municipal corporations and administrative law for the year 1970-1971, see 57 Va. L. Rev. 1572 (1971). For survey of Virginia administrative law for the year 1974-1975, see 61 Va. L. Rev. 1632 (1975).

CASE NOTES

Limitations. - The Commission is not empowered to ignore or waive its rules which emanate from a grant of power conferred upon the Commission by Va. Const., Art. IX, § 3, this section, and § 12.1-28 . Rather, the rate case rules, which have been duly adopted by the Commission, must be followed by the Commission unless or until changed in a manner permitted by the state constitution and by the two code sections. Virginia Comm. for Fair Util. Rates v. VEPCO, 243 Va. 320 , 414 S.E.2d 834 (1992).

Rules cannot be ignored. - A Commission rule cannot be interpreted in a fashion which would permit the commission or a utility that files an application for a rate increase to ignore or circumvent clear and unambiguous requirements contained in the Commission's rules. Virginia Comm. for Fair Util. Rates v. VEPCO, 243 Va. 320 , 414 S.E.2d 834 (1992).

Rehearing rule. - The Commission has authority under this section to promulgate a rule granting rehearing. Such rule conflicts with no statute or rule of court affecting appeals to Supreme Court from decisions of the Commission and deprives no party of any right guaranteed by the Constitution or by statute. Second Nat'l Bank v. New Bank, 215 Va. 132 , 210 S.E.2d 136 (1974).

§ 12.1-26. Public sessions.

The sessions of the Commission for the hearing of any complaint, proceeding, contest, or controversy instituted or pending before it, whether of its own motion or otherwise, shall be public, and its findings, decisions, and judgments shall be made public forthwith.

(Code 1950, § 12-51; 1971, Ex. Sess., c. 157.)

§ 12.1-27. Commonwealth to be complainant, etc.; parties entitled to process.

In all complaints, proceedings, contests, or controversies by or before the Commission instituted by the Commonwealth or by the Commission of its own motion, the Commonwealth shall be complainant, and the party against whom the complaint is preferred, or the proceeding instituted, shall be the defendant. Any party complainant or defendant in any complaint, proceeding, contest, or controversy shall be entitled to process, to convene parties, compel the attendance of witnesses, or the production of books, papers, and documents in any proceeding or hearing before the Commission.

(Code 1950, § 12-52; 1971, Ex. Sess., c. 157.)

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, § 30.

§ 12.1-28. Notice and hearing.

Before promulgating any general order, rule, or regulation, the Commission shall give reasonable notice of its contents and shall afford interested persons having objections thereto an opportunity to present evidence and be heard. Every such order and notice of every such rule or regulation finally adopted by the Commission shall be published in the next annual report of the Commission, and a copy of the order, rule or regulation shall be delivered by the Commission to every person affected by it who requests a copy and copies shall be available to the public by application therefor to the Commission. This section shall control in the event it is deemed inconsistent with other provisions of law.

Before the Commission shall enter any finding, order, or judgment against any person, it shall afford such person reasonable notice of the time and place at which he shall be afforded an opportunity to introduce evidence and be heard.

(Code 1950, § 12-54; 1971, Ex. Sess., c. 157; 1994, c. 15.)

Law review. - For survey of Virginia administrative law for the year 1974-1975, see 61 Va. L. Rev. 1632 (1975).

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, § 30.

CASE NOTES

Limitations on Commission. - The Commission is not empowered to ignore or waive its rules which emanate from a grant of power conferred upon the Commission by Va. Const., Art. IX, § 3, § 12.1-25 , and this section. Rather, the rate case rules, which have been duly adopted by the Commission, must be followed by the Commission unless or until changed in a manner permitted by the state constitution and by the two code sections. Virginia Comm. for Fair Util. Rates v. VEPCO, 243 Va. 320 , 414 S.E.2d 834 (1992).

Rules cannot be ignored. - A Commission rule cannot be interpreted in a fashion which would permit the Commission or a utility that files an application for a rate increase to ignore or circumvent clear and unambiguous requirements contained in the Commission's rules. Virginia Comm. for Fair Util. Rates v. VEPCO, 243 Va. 320 , 414 S.E.2d 834 (1992).

Exercise of legislative and judicial powers cannot be blended in one procedure. - In exercising its legislative powers the State Corporation Commission is under no obligation to give notice to the parties to be affected thereby, but when it comes to exercising its judicial functions by the enforcement of that legislation the parties affected are entitled, under the Fourteenth Amendment to the Constitution of the United States, to notice and an opportunity to be heard, and this right is not satisfied by the antecedent notice given before the proposed legislation. These powers cannot be blended in one procedure. Winchester & S.R.R. v. Commonwealth, 106 Va. 264 , 55 S.E. 692 (1906) (decided under prior law).

Due process only requires opportunity for hearing. - In the context of alleged violations of the Virginia Securities Act ( § 13.1-501 et seq.), due process requires only that, before sanctions may be imposed upon a party, the opportunity for a hearing must be provided, not that the party must actually have a hearing on the merits. Blinder, Robinson & Co. v. SCC, 227 Va. 24 , 313 S.E.2d 652, cert. denied, 469 U.S. 829, 105 S. Ct. 113, 83 L. Ed. 2d 56 (1984).

The purpose of notice and comment provisions are to apprise interested parties of the pendency of the action and afford them an opportunity to present their objections. American Bankers Life Assurance Co. v. Division of Consumer Counsel, 220 Va. 773 , 263 S.E.2d 867 (1980).

Fact that proposed regulation is not the same as final is not denial of due process. - Since possible change in the regulation is the very reason for the public comment, a party is not denied due process merely because the proposed regulation is not an accurate forecast of the precise action which the agency will take upon the subjects mentioned in the notice of hearing. American Bankers Life Assurance Co. v. Division of Consumer Counsel, 220 Va. 773 , 263 S.E.2d 867 (1980).

And the State Corporation Commission is not required to provide additional notice and opportunity for comment where the changes in the promulgated rule, even if substantial, do not enlarge the proposed rule's subject matter, and are a logical outgrowth of the public comments received. American Bankers Life Assurance Co. v. Division of Consumer Counsel, 220 Va. 773 , 263 S.E.2d 867 (1980).

Notice and comment not required for discretionary determination. - Imposition of a threshold financial analysis by the State Corporation Commission in setting public utility rates does not constitute the promulgation of a rule or regulation of general application, which may be adopted by the commission only after notice and hearing. Application of the threshold standard is nothing more than a discretionary method of determining whether a rate change is needed. It is not a rule or regulation in the constitutional or statutory sense. Roanoke Gas Co. v. SCC, 225 Va. 186 , 300 S.E.2d 785 (1983).

The opportunity to be heard is meaningless when afforded only ex post facto. VEPCO v. SCC, 226 Va. 541 , 312 S.E.2d 25 (1984).

Parties affected by order must be served with process or notice. - A choice of either of two methods having been given to appellants of performing a charter duty, it was error on the part of the State Corporation Commission to have limited them to one of such methods in directing the performance of that duty. It was likewise error to make any order affecting the right of a connecting company which had not been served with process or notice, and was not a party to the proceeding. Winchester & S.R.R. v. Commonwealth, 106 Va. 264 , 55 S.E. 692 (1906).

Whether relief from a default should be granted is a question resting in the sound discretion of the trial tribunal. And where the basis of the requested relief is excusable neglect, the pivotal question is the sufficiency of the defendants' excuse for failing to appear at the hearing. Blinder, Robinson & Co. v. SCC, 227 Va. 24 , 313 S.E.2d 652, cert. denied, 469 U.S. 829, 105 S. Ct. 113, 83 L. Ed. 2d 56 (1984).

Waiver of hearing. - The failure to appear after due notice, or the unjustifiable violation of some procedural rule affecting the orderly adjudication of cases, may result in a waiver of the hearing required by due process and an entry of judgment by default. Blinder, Robinson & Co. v. SCC, 227 Va. 24 , 313 S.E.2d 652, cert. denied, 469 U.S. 829, 105 S. Ct. 113, 83 L. Ed. 2d 56 (1984).

Where no motion for summary judgment had been served on VEPCO, and the company was unaware that summary action was under consideration it was a violation of due process for the State Corporation Commission to proceed sua sponte, reach its decision in camera, and in the process afford VEPCO, an "interested person" entitled to "full and fair participation," no opportunity to be heard. VEPCO v. SCC, 226 Va. 541 , 312 S.E.2d 25 (1984).

It is not necessary that two or more members of the commission be present while each witness testifies, provided all the evidence is considered by at least two commissioners. Southwest Bank v. Peoples Bank, Inc., 216 Va. 788 , 224 S.E.2d 130 (1976).

An intervenor bank did not have to be heard on the granting to petitioner bank a rehearing as the rehearing order did not constitute an order "against" intervenor. Second Nat'l Bank v. New Bank, 215 Va. 132 , 210 S.E.2d 136 (1974).

Hearing waived because of attorney's neglect. - It is not reasonably conceivable that an attorney, exercising due care for his client's interests, would accept an equivocal statement that a staff member of the Securities Division of the State Corporation Commission would extend the order to show cause which had been set for hearing from one without any apparent authority and act upon the statement with complete confidence that a binding agreement had been reached concerning a continuance. Neither is it reasonably conceivable that, following his conversation with the staff member, the attorney would fail to contact the commission before the scheduled hearing date to ascertain whether the matter had in fact been continued. Both these lapses constitute inexcusable neglect amounting to a waiver of the hearing required by due process. Blinder, Robinson & Co. v. SCC, 227 Va. 24 , 313 S.E.2d 652, cert. denied, 469 U.S. 829, 105 S. Ct. 113, 83 L. Ed. 2d 56 (1984).

Applied in Beneficial Fin. Co. v. SCC, 230 Va. 529 , 339 S.E.2d 192 (1986).

§ 12.1-29. Writs and process.

All writs, processes, and orders of the Commission shall run in the name of the Commonwealth, and shall be attested by its clerk, and shall be directed to its bailiff, and may be served, executed, and returned by the said bailiff, in any city or county of this Commonwealth, or by the sheriff, or any constable, of any city or county in this Commonwealth within his bailiwick. All writs, notices, processes, or orders of the Commission may be served, executed, and returned in like manner and upon like persons or property as the processes, writs, notices, or orders of the courts of record of this Commonwealth, and when so served, executed, and returned shall have the like legal effect.

(Code 1950, § 12-56; 1971, Ex. Sess., c. 157.)

§ 12.1-30. Rules of evidence to be as in courts of record.

The Commission, on hearing of all complaints, proceedings, contests or controversies, in which it shall be called upon to decide or render judgment in its capacity as a court of record, shall observe and administer the common and statute law rules of evidence as observed and administered by the courts of the Commonwealth.

(Code 1950, § 12-57; 1971, Ex. Sess., c. 157.)

Law review. - For article analyzing ratemaking issues under the SCC, see 14 Wm. & Mary L. Rev. 601 (1973).

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, § 30.

CASE NOTES

When section applicable. - This section applies only to proceedings in which the Commission shall be called upon to decide or render judgment in its capacity as a court of record. Norfolk & W. Ry. v. Commonwealth ex rel. Mathieson Alkali Works, Inc., 162 Va. 314 , 174 S.E. 85 (1934) (decided under prior law).

Judgment on certificate of public convenience and necessity is legislative function. - The State Corporation Commission, in passing judgment between competing applicants for a certificate of public convenience and necessity to provide exclusive radio common carrier service was exercising a legislative function and therefore the Commission was not bound by the strict rules of evidence as would a court of record. Paging, Inc. v. Afton Communications Corp., 221 Va. 704 , 273 S.E.2d 775 (1981).

Applied in Commonwealth ex rel. Att'y Gen. v. Washington Gas Light Co., 221 Va. 315 , 269 S.E.2d 820 (1980).

§ 12.1-30.1. Meetings and communications between commissioners and parties or staff.

The Commission shall after public hearing, promulgate rules of practice and procedure pursuant to § 12.1-25 controlling meetings and communications between commissioners and any party, or between commissioners and staff concerning any fact or issue arising out of a proceeding involving the regulation of rates, charges, services or facilities of railroad, telephone, gas, electric, water, or sewer companies. The rules shall provide, among other provisions, that no commissioner shall consult with any party or any person acting on behalf of any party with respect to such proceeding without giving adequate notice and opportunity for all parties to participate.

(1979, c. 343; 2016, cc. 191, 283.)

The 2016 amendments. - The 2016 amendments by cc. 191 and 283 are identical, and inserted "water, or sewer" in the first sentence and made related changes.

Law review. - For survey of Virginia administrative law and utility regulation for the year 1978-1979, see 66 Va. L. Rev. 193 (1980).

§ 12.1-31. Hearing examiners; powers and duties; reports to be furnished to parties; responses by parties.

The Commission may appoint by written order hearing examiners, whose duties shall be defined in such order and who shall have all the inquisitorial powers and the right to require the appearance of witnesses and parties now possessed by the Commission. Hearing examiners may make either special investigations and reports for the information of the Commission, or, if so directed in such order, may conduct the hearing of any cause within the jurisdiction of the Commission, taking evidence upon such notice as is required. All hearing examiners shall report their findings to the Commission, and file therewith the testimony and exhibits received by them. The recommendations of such examiners shall be advisory only, and shall not preclude the Commission from taking further evidence.

A copy of the examiner's report shall be furnished to all parties to the proceeding in which the report is filed. The parties shall be allowed a reasonable time in which to respond and such responses shall become part of the record to be considered by the Commission in making a decision.

(Code 1950, § 12-46; 1971, Ex. Sess., c. 157; 1978, c. 394; 1980, c. 247.)

Applied in Westvaco Corp. v. Columbia Gas of Va., Inc., 230 Va. 451 , 339 S.E.2d 170 (1986).

§ 12.1-32. Costs, fees, and expenses.

The authority of the Commission with respect to costs, fees, and expenses shall be the same as that of courts of record of this Commonwealth.

(Code 1950, §§ 12-59, 12-60; 1971, Ex. Sess., c. 157.)

§ 12.1-33. Fine for disobedience of Commission orders.

Any individual or business conducted by any entity other than an individual failing or refusing to obey any order or any temporary or permanent injunction of the Commission may be fined by the Commission such sum, not exceeding $5,000 in the case of an individual or $10,000 in the case of a business conducted by any entity other than an individual, as the Commission may deem proper; and each day's continuance of such failure or refusal shall be a separate offense. Should the operation of such order be suspended pending an appeal therefrom, the period of such suspension shall not be computed against the person, individual, or business in the matter of the liability to fines or penalties.

(Code 1950, § 12-18; 1971, Ex. Sess., c. 157; 2000, c. 986.)

The 2000 amendments. - The 2000 amendment by c. 986 substituted "individual or business conducted by any entity other than an individual" for "person," substituted the language beginning "$5,000 in the" and ending "than an individual" for "$1,000," inserted "individual, or business," and substituted "the" for "his."

Law review. - For 2000 survey of Virginia corporate and business law, see 34 U. Rich. L. Rev. 697 (2000).

§ 12.1-34. Punishment for contempt.

The Commission shall have the power to punish for contempt by fine not exceeding $1,000 or by confinement not exceeding six months, or by both, any person duly summoned to appear and testify before the Commission who fails or refuses to appear and testify, without lawful excuse, or who refuses to answer any proper question propounded to him by the Commission in the discharge of its duty or who conducts himself in a rude, disrespectful, or disorderly manner before the Commission or any of the commissioners deliberating in the discharge of duty in public session. Any person punished for contempt by confinement may be committed by the Commission to the jail of any city or county of this Commonwealth. The jailer thereof shall receive the person upon the commitment of the Commission attested by its clerk, and shall confine the person for the term of imprisonment specified in the commitment. The jailer shall receive for the board of any person so committed the same allowance made by law for other persons confined in the jail.

(Code 1950, § 12-21; 1971, Ex. Sess., c. 157; 1991, c. 710.)

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, § 2.

§ 12.1-35. Judgments to be in favor of Commonwealth.

All judgments of the Commission shall be entered in favor of the Commonwealth and when collected shall be paid by the clerk of the Commission into the treasury of Virginia.

(Code 1950, § 12-17; 1971, Ex. Sess., c. 157.)

§ 12.1-36. Time judgment takes effect; interest.

The judgments of the Commission for fines or penalties, or for the recovery of money, shall take effect as of the date thereof, and when allowed by the Commission, the judgment shall bear interest from that date.

(Code 1950, § 12-61; 1971, Ex. Sess., c. 157.)

§ 12.1-37. Lien of judgment; docketing.

The judgments of the Commission for the recovery of money, fines, or penalties shall be a lien on the real estate of the judgment debtor when duly docketed and indexed in the judgment lien docket, as the judgments of courts of record are required by law to be docketed and indexed, in the county or city in which the real estate of the judgment debtor is located, and the lien of any such judgment may be enforced in equity before any court having jurisdiction. The clerks of the courts of the several cities and counties shall docket all such judgments on the lien docket of their respective courts when a copy thereof, certified by the clerk of the Commission, shall be presented for that purpose.

(Code 1950, § 12-62; 1971, Ex. Sess., c. 157.)

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, §§ 30, 31.

§ 12.1-38. Concurrent jurisdiction of Commission and courts.

Nothing in this title or in Title 56 shall be construed to take away or impair the jurisdiction of any court of this Commonwealth to hear and determine any proceeding, suit or motion of which it has jurisdiction, for the enforcement of any fine or penalty against any corporation under the laws of this Commonwealth, but the powers and jurisdiction of the Commission to hear, determine and enforce such fines and penalties shall be construed to be concurrent.

(Code 1950, § 12-2; 1971, Ex. Sess., c. 157.)

§ 12.1-39. Appeals generally.

The Commonwealth, any party in interest, or any party aggrieved by any final finding, decision settling the substantive law, order, or judgment of the Commission shall have, of right, an appeal to the Supreme Court irrespective of the amount involved; provided, however, that the petition for such appeal shall be filed with the Clerk of the Supreme Court within 120 days from the final judgment or finding of the State Corporation Commission; and provided further that an appeal bond is filed pursuant to § 8.01-676.1 .

No other court of the Commonwealth shall have jurisdiction to review, reverse, correct, or annul any action of the Commission or to enjoin or restrain it in the performance of its official duties; provided, however, that the writs of mandamus and prohibition shall lie from the Supreme Court to the Commission.

The Commission shall, whenever an appeal is taken therefrom, file in the record of the case a statement of the reasons upon which the action appealed from was based.

(Code 1950, § 12-63; 1971, Ex. Sess., c. 157; 1977, c. 624; 2017, c. 651.)

Cross references. - For constitutional provisions, see Va. Const., Art. IX, § 4.

For rule of court covering generally appeals from the State Corporation Commission, see Sup. Ct. Rule 5:21.

For rule on docketing such appeals, see Sup. Ct. Rule 5:23.

The 2017 amendments. - The 2017 amendment by c. 651 substituted "120 days" for "four months" in the first paragraph.

Law review. - For article, "Appellate Justice: A Crisis in Virginia?", see 57 Va. L. Rev. 3 (1971). For article on siting electric power facilities, see 58 Va. L. Rev. 257 (1972). For article analyzing the financial barriers to public participation in the regulatory activities of the SCC, see 14 Wm. & Mary L. Rev. 567 (1973). For article analyzing ratemaking issues under the SCC, see 14 Wm. & Mary L. Rev. 601 (1973). For survey of Virginia administrative law for the year 1974-1975, see 61 Va. L. Rev. 1632 (1975). For survey of Virginia corporation law for the year 1976-77, see 63 Va. L. Rev. 1361 (1977). For note discussing the Virginia Judicial Council's intermediate appellate court proposal, see 16 U. Rich. L. Rev. 209 (1982).

Michie's Jurisprudence. - For related discussion, see 1A M.J. Administrative Law, § 16; 1B M.J. Appeal and Error, § 30; 9A M.J. Fraudulent and Voluntary Conveyances, § 126; 15 M.J. Public Service and State Corporation Commissions, §§ 30, 32.

Editor's note. - Some of the cases below were decided under prior law.

CASE NOTES

Appeal of right to Supreme Court. - The Commonwealth, or any party in interest aggrieved by any final order of the State Corporation Commission, has an appeal of right to the Supreme Court. Howell v. SCC, 214 Va. 128 , 198 S.E.2d 611 (1973).

But the method of taking and prosecuting such an appeal must be in the manner prescribed by law or by the Rules of the Supreme Court. Howell v. SCC, 214 Va. 128 , 198 S.E.2d 611 (1973).

Final order needed. - The Supreme Court of Virginia considers appeals from only final orders of the Commission. Virginia Citizens Consumer Council v. C & P Tel. Co., 247 Va. 33 , 443 S.E.2d 157 (1994).

Sole method of review is by appeal as a rehearing by Commission is not allowed. - The only remedy for review of the denial by the State Corporation Commission of the application for a certificate of public convenience as of right is by appeal to the Supreme Court within the time prescribed by § 12.1-40 . The right to a rehearing by the Commission is not granted. There may be cases subject to the continued supervisory control and direction of the Commission, notwithstanding they are no longer pending cases before the Commission, or where the inherent nature of the subject is such as to imply a right to reopen the case, or rehear a former adjudication. Reynolds v. Alexandria Motor Bus Line, 141 Va. 213 , 126 S.E. 201 (1925).

Appeal may be taken from either judicial or ministerial proceeding. - An appeal may be given either in a ministerial proceeding of the Corporation Commission or where the action is judicial. It is purely a question of intent, to be derived from the language of the General Assembly. Jones v. Rhea, 130 Va. 345 , 107 S.E. 814 (1921).

Test to be applied to determine who is entitled to appeal. - The test to be applied to determine whether a person is entitled to appeal is, to ascertain whether he is a party (person) in interest. If he is, then he is as definitely given an appeal as the applicant in the proceedings. Jones v. Rhea, 130 Va. 345 , 107 S.E. 814 (1921).

"Aggrieved" broader in scope than "party in interest." - The term "aggrieved" as used in this section is broader in its scope than the term "party in interest." Commonwealth v. Sharp, 155 Va. 714 , 156 S.E. 570 (1931); Virginia Ass'n of Ins. Agents v. Commonwealth, 201 Va. 249 , 110 S.E.2d 223 (1959).

Interest of party entitling him to appeal must be direct. - In condemnation proceedings by a city to condemn land for a recreation park belonging to two railroads, appellants were citizens, taxpayers and owners of property adjacent to the property sought to be condemned. It was held that the interest which entitled a party to an appeal under this provision must be direct and not indirect and remote, and that the interest of appellants was not such an interest, but was indirect and remote. Page v. Commonwealth, 157 Va. 325 , 160 S.E. 33 (1931).

Rejected litigant, who is a proper party, is entitled to appeal. - A litigant who seeks to become a party and is entitled to become a party to proceedings in which he is interested, and is erroneously rejected, should not be required to seek relief in a roundabout fashion by a distinct and separate suit, but should be regarded, for the purposes of appeal, as possessing the status of one who is a formal party to the proceedings in which his rights and interests are being litigated. Jones v. Rhea, 130 Va. 345 , 107 S.E. 814 (1921).

Although minority members of one of several clubs merged by the Corporation Commission were not formal parties to the proceedings, they were entitled to an appeal under this section and former § 8-462 (see now § 8.01-670 ), especially where they had sought to become parties and their petition of intervention had been erroneously rejected by the Commission. Jones v. Rhea, 130 Va. 345 , 107 S.E. 814 (1921).

Where a person was not a party to the proceeding, did not ask that he be made a party, or assert any interest therein, he is not a "person interested," a "party in interest" in, or a "party aggrieved" by, an order of the State Corporation Commission revising liability insurance rates. Young v. SCC, 205 Va. 111 , 135 S.E.2d 129 (1964).

Corporations held to be applicants and entitled to appeal. - The corporations concerned in merger, or dissolution proceedings, are certainly applicants and therefore apparently entitled to appeal. Jones v. Rhea, 130 Va. 345 , 107 S.E. 814 (1921).

A presumption of correctness still attaches to actions of the Commission, the presumption surviving omission of former § 156, subsection (f), of the Constitution of 1902 from the revised Constitution. Farmers & Merchants Nat'l Bank v. Commonwealth, 213 Va. 401 , 192 S.E.2d 744 (1972).

The Commission's findings will not be disturbed when they are based upon the application of correct principles of law. Commonwealth ex rel. Att'y Gen. v. Washington Gas Light Co., 221 Va. 315 , 269 S.E.2d 820 (1980).

Court cannot substitute its opinion for that of Commission. - Where it was contended that this section should be construed as conferring legislative powers on the Supreme Court, and as authorizing it to substitute its opinion as to what was a proper rate for that of the Commission, it was held that this contention could not be accepted. It was further held that the language of the statute must be taken as referring to judicial powers, not those outside the normal field of appellate jurisdiction. Aetna Ins. Co. v. Commonwealth ex rel. SCC, 160 Va. 698 , 169 S.E. 859 (1933).

Validity of order. - An order of the Commission is not valid unless it had jurisdiction to make it and exercise it in a manner allowed by law. Reynolds v. Alexandria Motor Bus Line, 141 Va. 213 , 126 S.E. 201 (1925).

There is no necessity for the commission to prepare an opinion until a party gives notice of its intention to appeal. Southwest Bank v. Peoples Bank, Inc., 216 Va. 788 , 224 S.E.2d 130 (1976).

Commission's opinion did not fail to comply with statutory mandate to furnish statement of reasons for action of Commission. - See APCO v. Commonwealth, 216 Va. 617 , 221 S.E.2d 872 (1976).

An order granting a certificate under the Petroleum Tank Truck Carriers' Act ( §§ 56-338.19 through 56-338.39, now repealed) is appealable of right under this section, though the appeal provisions of the act itself do not cover such case. The general law controls, since it is neither inconsistent nor in conflict with the act. Atwood Transp. Co. v. Commonwealth, 197 Va. 325 , 88 S.E.2d 922 (1955).

Construction of section prior to 1977 amendment. - See Second Nat'l Bank v. New Bank, 215 Va. 132 , 210 S.E.2d 136 (1974).

Applied in American Bankers Life Assurance Co. v. Division of Consumer Counsel, 220 Va. 773 , 263 S.E.2d 867 (1980); Paging, Inc. v. Afton Communications Corp., 221 Va. 704 , 273 S.E.2d 775 (1981); Gahres v. Phico Ins. Co., 672 F. Supp. 249 (E.D. Va. 1987).

§ 12.1-40. Method of taking and prosecuting appeals.

All appeals from the State Corporation Commission shall be taken and perfected, and the clerk of the Commission shall make up and transmit the record on appeal, within 120 days from the date of the finding, order, or judgment appealed from. The method of taking and prosecuting any appeal from the Commission shall be as provided by the rules of the Supreme Court.

(Code 1950, § 12-63; 1971, Ex. Sess., c. 157; 2017, c. 651.)

The 2017 amendments. - The 2017 amendment by c. 651 substituted "120 days" for "four months" in the first sentence.

Law review. - For article analyzing the financial barriers to public participation in the regulatory activities of the SCC, see 14 Wm. & Mary L. Rev. 567 (1973). For survey of Virginia corporation law for the year 1976-77, see 63 Va. L. Rev. 1361 (1977).

Michie's Jurisprudence. - For related discussion, see 1B M.J. Appeal and Error, § 206; 15 M.J. Public Service and State Corporation Commissions, § 32.

Editor's note. - Some of the cases below were decided under prior law.

CASE NOTES

Applicable time limitations. - The time limitations prescribed by the Rules of the Supreme Court and former §§ 8-463, 8-489 (see now §§ 8.01-671 , 8.01-679 ) and this section are applicable to appeals from all orders of the State Corporation Commission, including orders issuing certificates of amendment. O'Brien v. Socony Mobil Oil Co., 207 Va. 707 , 152 S.E.2d 278, cert. denied, 389 U.S. 825, 88 S. Ct. 65, 19 L. Ed. 2d 80 (1967), commented on in 53 Va. L. Rev. 1396 (1967).

Appeal of right to Supreme Court. - The Commonwealth, or any party in interest aggrieved by any final order of the State Corporation Commission, has an appeal of right to the Supreme Court. Howell v. SCC, 214 Va. 128 , 198 S.E.2d 611 (1973).

But the method of taking and prosecuting such an appeal must be in the manner prescribed by law or by the Rules of the Supreme Court. Howell v. SCC, 214 Va. 128 , 198 S.E.2d 611 (1973).

The only remedy a litigant had from an erroneous order of the Commission was by appeal to the Supreme Court, and if the appeal was not perfected within the time prescribed by law, the order was conclusive upon the parties. French v. Cumberland Bank & Trust Co., 194 Va. 475 , 74 S.E.2d 265 (1953).

Record presumed accurate. - The record of proceedings before the State Corporation Commission is presumed to reflect accurately what transpired. Southwest Bank v. Peoples Bank, Inc., 216 Va. 788 , 224 S.E.2d 130 (1976).

Extrinsic evidence is inadmissible to impeach the verity of the record of the proceedings before the State Corporation Commission. Southwest Bank v. Peoples Bank, Inc., 216 Va. 788 , 224 S.E.2d 130 (1976).

§ 12.1-41. Petitions for writs of supersedeas.

Upon petition of the Commonwealth, any party in interest, or any party aggrieved, the Supreme Court may award a writ of supersedeas to any final finding, order, or judgment of the Commission. Any such petition shall be presented within 120 days from the date of such final finding, order, or judgment.

(Code 1950, § 12-63; 1971, Ex. Sess., c. 157; 2017, c. 651.)

The 2017 amendments. - The 2017 amendment by c. 651 substituted "120 days" for "four months" in the second sentence.

Michie's Jurisprudence. - For related discussion, see 1A M.J. Administrative Law, § 18; 3B M.J. Carriers, § 104; 15 M.J. Public Service and State Corporation Commissions, §§ 2, 30.

§ 12.1-42.

Repealed by Acts 1977, c. 624.

Cross references. - For present provisions as to suspension of execution upon giving of appeal bond, see §§ 8.01-676.1 and 12.1-39 .

§ 12.1-43. Tax assessments, registration fee assessments, report forms, and correspondence mailed by Commission deemed delivered.

Tax assessments, registration fee assessments, report forms, and correspondence directed to a corporation, limited liability company, limited partnership, registered limited liability partnership or business trust and mailed by the Commission by first-class mail addressed to the registered agent of the corporation, limited liability company, limited partnership, registered limited liability partnership or business trust at its registered office shall be deemed to have been delivered to the entity.

If the corporation, limited liability company, limited partnership, registered limited liability partnership or business trust has no registered agent, such mailing shall be deemed to have been delivered to the entity when mailed by the Commission by first-class mail addressed to the entity at its principal office address or when mailed or delivered in person to any director, the president, vice-president, secretary or any equivalent officer of the corporation, any member or manager of the limited liability company, any general partner of the limited partnership or registered limited liability partnership, or any trustee of the business trust. The names and addresses of such persons and the principal office addresses on record with the Commission shall be conclusive for the purposes of this section.

(1971, Ex. Sess., c. 157; 1985, c. 522; 2000, c. 58; 2003, c. 373; 2007, c. 631; 2010, c. 675.)

Editor's note. - Acts 2003, c. 373, cl. 3, provides: "That the provisions of this act shall become effective on October 1, 2003."

The 2000 amendments. - The 2000 amendment by c. 58 rewrote the section, including limited liability companies, limited partnerships, and registered limited liability partnerships within its purview.

The 2003 amendments. - The 2003 amendment by c. 373, effective October 1, 2003, substituted "registered limited liability partnership or business trust" for "or, registered limited liability partnership" in two places in the first paragraph and near the beginning of the first sentence of the second paragraph, and in the first sentence of the second paragraph deleted "or" preceding "any general partner" and inserted "or any trustee of the business trust" at the end of that sentence.

The 2007 amendments. - The 2007 amendment by c. 631, in the first paragraph, inserted "limited partnership" following the second instance of "limited liability company" and deleted "or to the registered agent of the limited partnership" following "registered office."

The 2010 amendments. - The 2010 amendment by c. 675, in the first sentence of the second paragraph, deleted "or specified" following "principal," and "as the case may be" following "office address" and "and specified" following "principal" in the last sentence.

Law review. - For 2000 survey of Virginia corporate and business law, see 34 U. Rich. L. Rev. 697 (2000).

Michie's Jurisprudence. - For related discussion, see 15 M.J. Public Service and State Corporation Commissions, §§ 2, 30.